The recent policy change by Wetherspoon regarding cash payments has attracted attention and prompted a response from the Government. The pub chain made a notable decision in November 2024 to stop accepting Scottish £20 and £50 notes. This action was taken due to concerns about counterfeit bills being circulated by criminal organizations.
Treasury Responds to Wetherspoon’s Major Cash Policy Change
In response to Wetherspoon’s announcement, Liberal Democrat MP Angus MacDonald inquired about the discussions between the Government and the pub chain concerning the acceptance of Scottish banknotes in England. Treasury minister Lucy Rigby addressed the query, highlighting that businesses are not legally required to accept any specific form of payment.
Government’s Position on Cash Payments
- Each business can decide what payment methods to accept.
- The Government has no immediate plans to amend the existing legislation.
- Recent changes in cash access were informed by the Financial Services and Markets Act 2023.
This act introduces measures aimed at protecting public access to cash. It grants enhanced powers to the Bank of England to improve wholesale cash distribution throughout the UK. Rigby emphasized the unique nature of the UK’s banking system, noting that various commercial banks can issue their own banknotes alongside those produced by the Bank of England.
Reasons Behind Wetherspoon’s Decision
Wetherspoon spokesperson Eddie Gershon explained that the decision to cease accepting Scottish banknotes stemmed from a notification received from the Bank of England. In October, it was reported that organized crime was circulating a high volume of counterfeit Scottish £20 notes.
- Warnings about counterfeit notes were issued to businesses.
- Increased incidents of fake notes prompted the policy change.
- These changes do not affect locations in Scotland or certain areas closely tied to it.
Scottish £50 notes will also not be accepted for similar security reasons. Wetherspoon has stated they will continuously review this policy in light of ongoing developments in cash management and safety.
